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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement CFO: Cassey Ogden DATE: September 20, 2022 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager to execute a contract with Genomic Life, Inc., for the Cancer Guardian Program services with a monthly voluntary rate of $20.00 per employee or $40.00 per employee and spouse for the City of Denton employees; providing for the expenditure of funds therefor; and providing an effective date of January 1, 2023 (RFP 7979 – awarded to Genomic Life, Inc., for three (3) years, with the option for two (2) additional one (1) year extensions, in the total five (5) year not-to-exceed amount of $340,000.00). INFORMATION/BACKGROUND Due to the rising cost of cancer claims on the City’s health plans, the City introduced the Cancer Guardian program to our employees effective September 1, 2021. The Cancer Guardian program is not insurance but instead is a program that provides resources and DNA testing for pre-diagnosis of cancer and provides resources and tools when a cancer diagnosis is made. The Cancer Guardian program information was provided to the City by ACAP HealthWorks during the introduction of Armor Up America for First Responders (formerly Responder Health). The Cancer Guardian program is a niche service; therefore, there is no marketing analysis. The City implemented the Cancer Guardian program mid-year with a special open enrollment in August 2021, for a September 1, 2021 effective date. Because the Cancer Guardian program was new to the City of Denton benefits offerings, based on past experience with other voluntary products, we estimated the first year’s total spend to be under $50,000, which is below the threshold requiring a formal solicitation process. During the open enrollment period for the 2022 plan year, the response for the Cancer Guardian program was far better than anticipated, and enrollment exceeded expectations. The monthly expenditure amount for the 2022 plan year is approximately $4,167 per month, which results in a higher than anticipated first-year cost. Because the current Genomic Life contract is interim only, the City conducted a formal RFP process to receive bids for a new multi-year Cancer Guardian Program contract for the 2023 plan year to be effective January 1, 2023. The City received one proposal from Genomic Life, the incumbent vendor. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Project Description Estimated 5-Year Expenditure Year 1* (208 plus 10% = 229 count) $ 56,000 Year 2* (252 count) $ 61,000 Year 3* (277 count) $ 67,000 Year 4* (305 count) $ 74,000 Year 5* (335 count) $ 82,000 Total $340,000 *10% member increase each year, starting with the 2022 average count Request for Proposals was sent to 90 prospective suppliers, including two (2) Denton firms. In addition, specifications were placed on the Procurement website for prospective suppliers to download and advertised in the local newspaper. One (1) proposal was received, and references were checked to ensure the vendor can provide the services requested in the Scope of Work. The proposal was evaluated based upon published criteria including compliance with specifications, probable performance, and price. The department is awarding the contract to Genomic Life, Inc. NIGP Code Used for Solicitation: 946 - (Service Only) - Financial Services & 953 - (Service Only) - Management Services Notifications sent for Solicitation sent in IonWave: 90 Number of Suppliers that viewed Solicitation in IonWave: 8 HUB-Historically Underutilized Business Invitations sent out: 6 SBE-Small Business Enterprise Invitations sent out: 21 Responses from Solicitation: 1 RECOMMENDATION Award a contract to Genomic Life, Inc., for the Cancer Guardian Program services with a monthly voluntary rate of $20.00 per employee or $40.00 per employee and spouse for the City of Denton employees, in a three (3) year, with the option for two (2) additional one (1) year extensions, in the total five (5) year not- to-exceed amount of $340,000. PRINCIPAL PLACE OF BUSINESS Genomic Life, Inc. San Diego, CA ESTIMATED SCHEDULE OF PROJECT This is an initial three (3) year contract with options to extend the contract for two (2) additional one (1) year periods, with all terms and conditions remaining the same, starting on January 1, 2023. FISCAL INFORMATION The Cancer Guardian program services are funded 100% by employees through payroll deduction. The City does not contribute to the premiums for voluntary products. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Ordinance and Contract Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Linda Kile, 940-349-8388. Legal point of contact: Marcella Lunn at 940-349-8333.